The City of Melbourne is unlocking a private development site worth half a billion dollars, creating thousands of jobs and supporting confidence in our city’s economic and social recovery from COVID-19.
Lord Mayor Sally Capp said the sale of the site to the private sector to develop the Southern site as part of the Queen Victoria Market precinct renewal will contribute $520 million in value to the City of Melbourne’s economy.
“This is a once in a generation opportunity to create jobs, deliver extra car parks and build more affordable housing on the doorstep of the beloved Queen Vic Market,” the Lord Mayor said.
“We know how important it is to invest in our city right now while also setting the city up for prosperity and liveability for decades to come.”
“From architects, engineers, industrial plumbers to skilled labourers, we’ll create jobs for around 1050 workers each year during construction and a further 3000 ongoing jobs once the project is complete.”
The exemplar mixed use development will deliver up to 25 per cent affordable housing, featuring more than 600 total residential units that will cater to 1100 new residents.
It will boast unparalleled views of Flagstaff Gardens and the 1.75 hectare public open space being created within the market precinct.
“Queen Victoria Market is one of our most iconic destinations and delivering more housing on the doorstep of the market will attract an estimated 326,000 extra visitors shopping at the market each year,” the Lord Mayor said.
“It’s estimated that $5.4 million in additional visitor spending will be generated at the market each year from the new local residents and workers.”
“Along with the new car park that is on-track to open at the Munro site in July, the Southern site will feature a new market car park with between 220 and 500 spaces.”
City of Melbourne design objectives state the development will not include a supermarket or generic outlets that would compete with fresh food and specialty merchandise offerings at Queen Victoria Market.
Independent research has shown the development could create up to $45 million value through improved pedestrian and cycling accessibility, with new road configurations to replace congested intersections, enhanced safety and amenity, and excellent public transport connectivity.
Planning lead and Deputy Lord Mayor Nicholas Reece said the 11,892 square development metre site is equivalent to around three acres.
“This is one of Australia’s best development opportunities that may never be repeated in the city again,” the Deputy Lord Mayor said.
“We have a proven record of collaborating with like-minded developers to provide high quality affordable housing and vital community facilities in developments including the Munro development adjacent to Queen Victoria Market and the Boyd development in Southbank.
“Developers have indicated they remain optimistic about pipeline projects in prime locations that will deliver high quality office and residential accommodation at well-placed sites.”
“I’m confident that developers will see the benefits in locking in such a large centrally located project, which can be completed within the next three to five years.”
“We’re asking the private sector to carefully consider and respond to our design objectives through this expressions of interest process, which include framing the new 1.75 hectare public open space.
“We also understand there is significant community interest in the plans for this important site and we look forward to sharing plans for this thriving precinct as they progress.”
The Southern site adjoins the heritage-listed Franklin Street stores which will be restored and repurposed for City of Melbourne’s future uses including complementary retail and hospitality.
The Southern Site is part of the formal agreement with the Victorian Government to support the renewal of the Queen Victoria Market precinct. The sale of the site will help fund the renewal and reinvigorate the precinct.